"France is in a situation of great financial difficulty, it has an enormous public debt that continues to grow, it has not been able to control public finances, and the perceived risk in the French Republic could potentially have contagion effects on an economy like Portugal's, which is also very dependent on the French economy," said Nazaré da Costa Cabral, in a hearing in parliament, within the framework of the proposed State Budget for 2026 (OE2026).

The official stressed that one cannot "be complacent or relaxed regarding the fiscal and financial situation" of the country, which, despite everything, "is not as strong as France's."

"We have nothing against reducing the tax burden, in principle, but as long as we don't have effective control over the behaviour of the State's primary current expenditure, it may be imprudent, in this complex context, even from a financial point of view, to make structural reductions in public revenue," the CFP president further argued.

The situation in France is one of the risks identified by the CFP, namely the possible volatility in the debt market due to the situation in France, which could "potentially increase costs" and have a contagion effect.

This Monday, French Prime Minister Sébastien Lecornu failed to bring together all political groups to seek a consensus on the 2026 budget, complicating the scenario for his government's continued tenure.